East Tennessee Natural Gas, LLC

Third Revised Volume No. 1

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Effective Date: 07/01/2009, Docket: RP97-13-036, Status: Effective

Original Sheet No. 38 Original Sheet No. 38

 

STATEMENT OF NEGOTIATED RATES

 

Customer Name: Equitable Production Company

Contract Number: 410354 1/

Rate Schedule: FT-L

Demand Rate: 2/ 3/ 4/

Commodity Rate: 2/ 3/ 4/

Term of Negotiated Rate: Service commences on 7-1-2009 and continues until the expiration of

Firm Transportation Service Agreement No. 410355.

Quantity: An initial MDTQ of 20,431 Dth/d, increasing to 40,862 Dth/d beginning on the earlier

of July 1, 2010, or upon prior written notice from Customer.

Receipt Point(s): a point of receipt at or near the intersection of Customers facilities with

the Jewell Ridge lateral.

Delivery Point(s): the intersection of Jewell Ridge lateral and ETNG's mainline facilities.

 

 

1/ The designated service agreement is non-conforming from the form of Service Agreement

contained in Transporter's Tariff.

 

2/ The negotiated rate shall be a Monthly Demand Rate of $4.1063 per Dth. There is no commodity

charge for the service described herein. In addition to these rates, Shipper shall pay all

applicable charges and mandatory surcharges (such as FERC Annual Charge Adjustment) and fuel

and lost and unaccounted for gas as set forth in Transporter's Tariff as revised from time to

time pursuant to Transporter's Tariff. Shipper shall not be charged for any voluntary

surcharges such as GRI Rate Adjustment.

 

3/ In consideration of the rates set forth above, the applicable rates for service under the

Service Agreement during the Primary Term shall remain as stated above. Therefore, pursuant

to the FT-L Rate Schedule of Transporter's FERC Gas Tariff, the rates set forth above shall

constitute Negotiated Rates. The Negotiated Rates shall replace the otherwise generally

applicable maximum recourse rate, rate component, charge or credit in Transporter's FERC Gas

Tariff ("Tariff Rates"), and the Tariff Rates shall not apply to or be available to Shipper

for service under the Service Agreement during the Primary Term (to the extent that such

Tariff Rates are inconsistent with the rates set forth above), notwithstanding any

adjustments to such generally applicable maximum recourse rate, rate component, charge or

credit which may become effective during the Primary Term.

 

4/ If, at any time after service commences under the Service Agreement, Transporter is

collecting its effective maximum recourse rates from other Shippers subject to refund under

Section 4 of the Natural Gas Act, Transporter shall have no refund obligation to customer

even if the final maximum rate is reduced to a level below the Negotiated Rates provided

herein. Customer's right to receive credits relating to Transporter's penalty revenue or

other similar revenue, if any, applicable to transportation service on Transporter's system

shall be governed by Transporter's FERC Gas Tariff and any applicable FERC orders and/or

regulations. In the event customer releases its firm transportation rights under the Service

Agreement, Shipper shall continue to be obligated to pay Transporter for the difference, if

any, by which the Negotiated Rate herein exceeds the release rate.